A divisional-level consultation and exchange of views on “Climate and Disaster Risk Financing and Insurance” was held on Saturday in Khulna, aiming to address the growing vulnerabilities of Bangladesh’s coastal population due to climate change and recurring natural disasters.
Bangladesh is among the most climate-vulnerable countries in the world. With nearly 40 million people living in coastal areas, the country faces increasing threats from cyclones, storm surges, salinity intrusion, and river erosion. These hazards are not only endangering lives but also severely impacting livelihoods, infrastructure, and local economies.
The event was chaired by S. M. Ferdous, Member Secretary of the Water Rights Committee, Khulna. The chief guest was Prof Tushar Kanti Ray from Khulna University of Engineering & Technology (KUET). The consultation brought together a diverse group of stakeholders including local government officials, NGO representatives, climate experts, and community leaders.
In his remarks, Prof Tushar Kanti Ray emphasized that the traditional approach of post-disaster relief is no longer sufficient. We must shift toward pre-emptive financial mechanisms, such as affordable insurance schemes and climate risk financing tools, that can provide resilience to vulnerable communities before disasters strike.
S. M. Ferdous stressed the need to decentralize decision-making and financial planning related to climate resilience. He called for increased involvement of local authorities in designing context-specific insurance solutions for the coastal population.
Key discussion points included the lack of accessible and affordable insurance products for rural and coastal populations.The importance of integrating disaster risk financing into local development planning.The potential of public-private partnerships to develop sustainable insurance models.The role of microinsurance and community-based financing mechanisms.Gender-sensitive approaches to financial protection and social safety nets
Participants noted that current insurance models are not tailored to the unique risks faced by communities living in high-risk zones. Most people remain excluded from formal insurance coverage, and without targeted interventions, their vulnerability will only worsen.
Representatives from NGOs highlighted successful pilot projects in microinsurance but emphasized the need for government support and policy frameworks to scale up such initiatives. Experts also discussed the possibility of index-based insurance that can automatically trigger payouts after specific climate events, reducing bureaucratic delays.
At the conclusion of the event, participants recommended a comprehensive national policy on climate and disaster risk insurance, including:Creation of a regional risk pool for coastal districts.Community awareness and capacity-building on financial Literacy,integration of climate financing into the National Adaptation Plan and local government budgets.
The meeting ended with a shared commitment to continue advocacy and collaboration among all actors—government, academia, civil society, and development partners—to build a more climate-resilient and financially protected Bangladesh.
